Do Bidding Wars Increase Home Prices?

‘Bidding Wars’ Not Boosting Home Prices, Latest HousingPulse Results Indicate Despite media reports of the emergence of so-called “bidding wars" in select housing markets, average home prices remained flat in the month of April, according to the latest results of the monthly Campbell/Inside Mortgage Finance HousingPulse Tracking Survey. While reports of some home listings attracting dozens of offers have become common this year, the closely watched nationwide HousingPulse survey found that most homes sold in April received only two or three offers and sold below list price. Demand from investors remained strong during the month of April. Investors accounted for 25.1% of home purchases, while current homeowners accounted for 40.1% of purchases and first-time homebuyers accounted for 34.8% of purchases. Average prices for home purchases declined slightly from March to April, according to transactions reported by HousingPulse survey respondents. The average price for non-distressed properties declined 1.5% from March to April, while the average price for short sales dipped 1.7%. For damaged REO the average price fell 1.4% and for move-in ready REO the average price slipped 0.3%. The average number of offers for non-distressed properties sold in April was only 1.9, according to the nationwide sample. For damaged REO, move-in ready REO, and short sales, comparable offer statistics were 3.5, 3.1, and 3.0, respectively. Despite random reports of homes being sold above list price, comprehensive HousingPulse survey statistics show that average ratios of sales prices to listing prices continued to be below 100% in the month of April. Helping make real estate dreams come true Have you received a Notice of Default on your property?  What are your plans?  Do you plan to walk away or do you want to try a Short Sale which has much less damage to your credit and helps you save face? You need a plan of action and if you want to buy some time, stay in the home until it sells and save up some money - then contact:
 Kathleen Lordbock REALTOR/Staging & Short Sale Specialist 
Keller Williams Realty Brainerd Lakes
Don't just walk away - there is hope, there is help!